The Draft Defence Acquisition Procedure 2026 (DAP 2026) is the latest proposed revision of India’s defence procurement architecture. Unveiled by the Ministry of Defence (MoD) on 10 February 2026, the draft aims to fundamentally transform how the Indian armed forces acquire critical systems, weapon platforms and defence technologies under the capital budget. Its objective is to replace the existing DAP 2020 with a more streamlined, self-reliant and strategically responsive acquisition framework that aligns procurement with India’s evolving security imperatives and domestic industrial growth.
The draft is currently open for stakeholder feedback and is intended to reflect contemporary strategic realities, technological innovation, and the needs of a modern battlefield. A defining feature of DAP 2026 is its shift from emphasising where equipment is manufactured (“Made in India”) to focusing on who owns its underlying design, intellectual property (IP) and source code (“Owned by India”). This doctrinal shift underscores a broader ambition: to build an indigenous technological base capable of not only producing defence hardware but also owning and upgrading its design and software—rather than remaining dependent on foreign original equipment manufacturers (OEMs) for mid-life enhancements or future developments.
Merits of DAP 2026
1. Indigenous Technological Ownership and Sovereignty
One of the most significant reforms in DAP 2026 is its focus on retaining critical design data and IP rights within India. Under the proposed framework, equipment procured under indigenous categories would include ownership of source code and upgrade authority, enabling India to independently modernise and customise systems throughout their lifecycle. This approach strengthens strategic autonomy by reducing the risk of foreign policy contingencies affecting technological support or upgrades.
2. Streamlined Procurement Structure and Clarity
DAP 2026 simplifies the existing procurement landscape by reducing the number of acquisition categories and restructuring procurement pathways. The draft abolishes certain legacy categories and places strong institutional preference on procurement under the Buy (Indian-IDDM) category (Indigenously Designed, Developed and Manufactured). This sharpened focus is intended to reduce procedural uncertainty and provide clearer incentives for domestic firms to prioritise indigenous design over mere assembly.
3. Accelerated Acquisition
The new framework introduces Technology Readiness Level (TRL) based categorisation to assess the maturity of technologies, introduces dedicated routes such as Low-Cost Capital Acquisition (LCCA) and Long-Term Bulk Acquisition (LTBA) for appropriate cases, and refines trial and quality assurance processes. These measures collectively aim to shorten decision cycles, reduce bureaucratic friction and enable faster induction of critical capabilities—a perennial challenge under older procedures.
4. Empowerment of Startups and Private Industry
Recognising the role of innovation, DAP 2026 includes mechanisms to support start-ups and MSMEs. Proposals such as assured orders for successful vendors, compensation provisions for trials, and participation pathways for emerging technology projects are designed to lower barriers to entry, mitigate financial risks for innovators, and broaden the domestic defence industrial base. This could foster a more vibrant environment for advanced research and development.
5. Alignment with National Strategic Priorities
The draft explicitly binds defence acquisition to larger national goals, such as Atmanirbhar Bharat (self-reliant India), economic growth, and the creation of strategic industrial capabilities. This includes institutionalised preference for domestic procurement, restrictions on import dependency in critical segments, and a framework that integrates defence procurement with broader policy initiatives to drive economic and technological self-sufficiency.
Limitations of DAP 2026
1. Limited Timeframe for Consultation
Call for consultation in regarding with DAP 2026 was released with a relatively short window (just three weeks) for stakeholders to review and comment on an extensive document spanning hundreds of pages. Critics argue that such a limited timeframe may constrain meaningful engagement with industry, analysts, and civil society, potentially curtailing substantive feedback on complex technical and strategic proposals.
2. Persistence of Complex Bureaucratic Challenges
Despite procedural revisions, many long-standing structural challenges in India’s defence procurement ecosystem such as multi-layered approval processes, coordination gaps between services, and protracted trial protocols may not be fully resolved by procedural streamlining alone. The bureaucratic culture and institutional inertia that have historically slowed acquisitions require deeper administrative reforms beyond policy text.
3. Capacity Gaps in Advanced Technological Domains
While the draft incentivises indigenous capability, India’s domestic defence industrial base continues to lag in cutting-edge areas like semiconductors, space systems, artificial intelligence, hypersonic technologies and integrated naval sensor suites. Building capacity in these domains will require sustained investment and ecosystem development beyond procurement reforms.
4. Risk of Foreign OEM Hesitation
DAP 2026’s insistence on ownership of design and IP rights, and its reluctance to allow wholly owned subsidiaries of foreign OEMs to qualify as “Indian vendors,” may deter some global manufacturers from engaging fully in co-development or co-production partnerships. Balancing the drive for self-reliance with access to cutting-edge foreign technologies will require nuanced policy calibration.
How DAP 2026 Could Elevate India’s Defence Posture (Including Against China)
1. Faster Modernisation Linked to Strategic Gaps
A streamlined procurement process that accelerates acquisition timelines will enable the Indian armed forces to induct next-generation capabilities—such as advanced unmanned aerial systems, networked battlefield sensors, AI-enhanced command and control suites, and resilient electronic warfare assets—more rapidly. This matters in the context of a technologically assertive China, whose defence modernisation pace continually raises the bar for regional competition. Accelerated acquisition can help narrow operational gaps and enhance deterrence credibility.
2. Strategic Autonomy Through Indigenous Capability
By emphasising ownership of design and IP, DAP 2026 enhances India’s ability to maintain and upgrade systems independently of foreign political pressures or export controls. In a strategic competition with China—where technologies can be leveraged as diplomatic leverage or conditionality’s—this autonomy strengthens India’s operational freedom and resilience.
3. Boosting a Diverse Defence Ecosystem
Greater participation from start-ups, MSMEs and private firms can infuse innovation into areas like robotics, resilient communications, cyber technologies and unmanned systems—domains where China has invested heavily. A diversified defence industrial base provides flexibility, resilience against supply shocks, and multiple avenues for capability development.
4. Reinforcing International Cooperation and Exports
DAP 2026’s global footprint, when complemented by integrated IP ownership, could open pathways for balanced co-development with strategic partners. Enhanced collaboration frameworks with allied nations and joint ventures could help India tap advanced technologies while sharpening domestic competencies—a model that can balance competition with cooperation.
5. Potential for Export-Ready Platforms
By prioritising indigenous design ownership, India stands to develop systems that are not only tailored for Indian operational needs but also competitive in global markets. This export orientation could help India become a regional defence technology provider, broadening strategic influence and economic returns.
What Still Needs Improvement in DAP 2026
1. Dedicated High-Technology Funding and Innovation Pipelines
While DAP 2026 emphasises indigenous design, it lacks explicit delineation of R&D funding mechanisms for frontier domains such as quantum communication, hypersonics, synthetic environments and space defence. Earmarked budgets and fast-track innovation funds could accelerate breakthroughs in these critical areas.
2. Integration with Operational Doctrine and Force Architecture
Defence acquisitions must be closely aligned with operational reforms such as the creation of integrated theatre commands and joint logistics ecosystems so that procurement decisions reflect real battlefield requirements and strategic doctrines.
3. Transparency in Trials and Accountability
Publicly available benchmarks, timelines, and dashboards tracking procurement progress can strengthen accountability, reduce uncertainty for industry players, and facilitate better planning by armed forces. Robust transparency can also build confidence among domestic innovators.
4. Balanced Foreign Collaboration Frameworks
DAP 2026 should articulate pragmatic co-development pathways that protect Indian interests while preserving access to global technology ecosystems. Flexible arrangements tailored to specific technology sectors can mitigate deterrent gaps without stifling collaboration.
5. Ecosystem Support Beyond Procurement
Policies supporting defence skill development, MSME incubation, export facilitation, supply chain financing and global market linkages would help translate procedural reforms into sustained industrial growth.
Multiple Strategic Paths Await
The Draft Defence Acquisition Procedure 2026 represents one of the most ambitious attempts to modernise India’s defence procurement regime. It moves beyond merely procedural reforms to recalibrate the balance between self-reliance, capability generation, strategic autonomy and industrial development.
If implemented clearly, DAP 2026 could shorten induction timelines, strengthen domestic innovation, and expand India’s deterrence posture especially vis-à-vis technologically advanced regional powers such as China. At the same time, it raises broader questions about how to balance indigenous technological sovereignty with global cooperation and whether procedural refinements will be sufficient to overcome deep-rooted institutional inertia.
Ultimately, DAP 2026 offers multiple trajectories: one in which India accelerates indigenous design, another in which balanced partnerships amplify capability gains, and a third in which procedural complexity impedes strategic progress. The choices made in the coming months, and how effectively these reforms are operationalised, will influence India’s defence and technological landscape for decades to come.
All the views and opinions expressed are those of the author. Image Credit: Government of India.
About the Author
Jaiee Ashtekar holds a bachelor’s degree and a master’s degree in political science from the University of Mumbai. She holds a post-graduate diploma in international relations from the University of Strathclyde, United Kingdom (UK). She has done projects titled “Kashmir through Political Perception” and “Water issues between India and Pakistan”.
